MR 862 – Maximum Demand Charges

It is agreed and understood that otherwise subject to the terms, exclu­sions, provisions and conditions contained in the Policy or endorsed thereon, this insurance shall be extended to cover the maximum demand charges as itemized in the power supply contract attached to and deemed to be incorporated in this Endorsement, such charges falling due as a consequence of indemnifiable loss of or damage to

 item(s) No(s)

specified in the List of Machinery and Plant Insured.

 The sum insured shall correspond to the maximum possible amount of maximum demand charges which may become due for one year.

 If, in the case of indemnifiable loss of or damage to the insured items, the maximum demand charges falling due, ie the unit price per kW or kVA and/or the quantity of kW or kVA, exceed the figures stipulated in the power supply contract, average shall be applied separately to each of the above-mentioned amounts.

 Underinsurance shall not be applied in the event that the indemnity pe­riod affects two electric power accounting years and the sum insured is less than the actual loss.

 Deductible: 20 % of the loss, minimum